[Congressional Record Volume 168, Number 147 (Tuesday, September 13, 2022)]
[House]
[Pages H7770-H7772]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
FASTER PAYMENTS TO VETERANS' SURVIVORS ACT OF 2022
Mr. TAKANO. Mr. Speaker, I move to suspend the rules and pass the
bill (H.R. 8260) to amend title 38, United States Code, to shorten the
timeframe for designation of benefits under Department of Veterans
Affairs life insurance programs, to improve the treatment of
undisbursed life insurance benefits by the Department of Veterans
Affairs, and for other purposes, as amended.
The Clerk read the title of the bill.
The text of the bill is as follows:
H.R. 8260
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Faster Payments to Veterans'
Survivors Act of 2022''.
SEC. 2. TIMEFRAME FOR DESIGNATION OF ALTERNATE BENEFICIARIES
AND PAYMENT OF BENEFITS UNDER DEPARTMENT OF
VETERANS AFFAIRS LIFE INSURANCE PROGRAMS.
(a) National Service Life Insurance.--Section 1917(f)(1) of
title 38, United States Code, is amended--
(1) in subparagraph (A), by striking ``two years'' and
inserting ``one year''; and
(2) in subparagraph (B), by striking ``four'' and inserting
``two''.
(b) United States Government Life Insurance.--Section
1952(c)(1) of such title is amended--
(1) in subparagraph (A), by striking ``two years'' and
inserting ``one year''; and
(2) in subparagraph (B), by striking ``four'' and inserting
``two''.
(c) Effective Date.--The amendments made by this section
shall apply with respect to the death of an insured person
occurring on or after the date that is two years before the
date of the enactment of this Act.
SEC. 3. BENEFICIARY DESIGNATION PROCESS UNDER DEPARTMENT OF
VETERANS AFFAIRS LIFE INSURANCE PROGRAMS.
(a) NSLI.--Section 1917 of title 38, United States Code, is
amended by striking subsection (a) and inserting the
following:
``(a)(1) A person who enrolls in insurance maturing on or
after August 1, 1946, may designate a beneficiary of the
insurance policy. The insured shall, subject to regulations,
at all times have the right to change the beneficiary or
beneficiaries of such insurance without the consent of such
beneficiary or beneficiaries.
``(2) If a person enrolled in insurance maturing on or
after August 1, 1946, does not designate a beneficiary under
paragraph (1) before the veteran dies, or if a designated
beneficiary predeceases the veteran, the Secretary shall
determine the beneficiary in the following order:
``(A) The surviving spouse of the insured person.
``(B) The children of the insured person and descendants of
deceased children by representation.
``(C) The parents of the insured person or the survivors of
the parents.
``(D) The duly appointed executor or administrator of the
estate of the insured person.
``(E) Other next of kin of the insured person entitled
under the laws of domicile of the insured person at the time
of the death of the insured person.''.
(b) USGLI.--
(1) In general.--Section 1949 of such title is amended to
read as follows:
``Sec. 1949. Beneficiaries
``(a) Designation.--A person who enrolls in United States
Government life insurance may designate a beneficiary of the
insurance policy. Subject to regulations, the insured person
shall at all times have the right to change the beneficiary
or beneficiaries of a United States Government life insurance
policy without the consent of such beneficiary or
beneficiaries.
``(b) Determination in Cases of Non-Designation.--If a
person enrolled in United States Government life insurance
does not designate a beneficiary under subsection (a) before
the insured person dies, or if a designated beneficiary
predeceases the insured person, the Secretary shall determine
the beneficiary in the following order:
``(1) The surviving spouse of the insured person.
``(2) The children of the insured person and descendants of
deceased children by representation.
``(3) The parents of the insured person or the survivors of
the parents.
``(4) The duly appointed executor or administrator of the
estate of the insured person.
``(5) Other next of kin of the insured person entitled
under the laws of domicile of the insured person at the time
of the death of the insured person.''.
(2) Clerical amendment.--The table of sections at the
beginning of chapter 19 of such title is amended by striking
the item relating to section 1949 and inserting the following
new item:
``1949. Beneficiaries.''.
(c) Effective Date.--The amendments made by this section
shall apply with respect to the death of an insured person
occurring on or after the date that is two years before the
date of the enactment of this Act.
[[Page H7771]]
SEC. 4. DEPARTMENT OF VETERANS AFFAIRS IMPROVEMENT OF
TREATMENT OF UNDISBURSED LIFE INSURANCE
BENEFITS.
(a) Improvement of Processes.--The Secretary of Veterans
Affairs shall improve the processes and procedures of the
Department of Veterans Affairs with respect to identifying,
locating, and paying hard-to-find beneficiaries of life
insurance policies issued under chapter 19 of title 38,
United States Code, including by--
(1) improving the search tools available on the website of
the Department;
(2) conducting outreach to veterans, veterans service
organizations, and the general public with respect to such
search tools;
(3) improving the processes for searching for information
relating to potential recipients through internal Department
sources and sources available through other Federal agencies,
State government agencies, and non-government entities; and
(4) ensuring the Department has sufficient dedicated staff
whose primary responsibilities are identifying, locating, and
paying hard-to-find beneficiaries, with the goal of
disbursing by not later than two years after the date of the
enactment of this Act, all funds that, as of the date of the
enactment of this Act, are owed to a beneficiary of a life
insurance policy issued under chapter 19 of title 38, United
States Code.
(b) Sense of Congress.--It is the sense of Congress that
the Secretary of Veterans Affairs should work with
interagency partners to determine the types of records,
reports, and other materials that may be required to
identify, locate, and disburse undisbursed life insurance
benefits to hard-to-find beneficiaries.
(c) Report.--Not later than 180 days after the date of the
enactment of this Act, the Secretary shall submit to the
Committees on Veterans' Affairs of the Senate and House of
Representatives a report on the progress of the Secretary in
carrying out this section.
(d) Undisbursed Life Insurance Benefits Defined.--The term
``undisbursed life insurance benefits''--
(1) means any amount of money that is owed to a beneficiary
of a life insurance policy issued under chapter 19 of title
38, United States Code, and that has not been disbursed for a
period of two years or longer; and
(2) does not include any amount of money that--
(A) has not been disbursed due to a contested claim; or
(B) is in dispute by two or more parties over who is the
entitled beneficiary.
SEC. 5. DETERMINATION OF BUDGETARY EFFECTS.
The budgetary effects of this Act, for the purpose of
complying with the Statutory Pay-As-You-Go Act of 2010, shall
be determined by reference to the latest statement titled
``Budgetary Effects of PAYGO Legislation'' for this Act,
submitted for printing in the Congressional Record by the
Chairman of the House Budget Committee, provided that such
statement has been submitted prior to the vote on passage.
The SPEAKER pro tempore. Pursuant to the rule, the gentleman from
California (Mr. Takano) and the gentleman from Illinois (Mr. Bost) each
will control 20 minutes.
The Chair recognizes the gentleman from California.
General Leave
Mr. TAKANO. Mr. Speaker, I ask unanimous consent that all Members
have 5 legislative days in which to revise and extend their remarks and
include extraneous material on H.R. 8260, as amended.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from California?
There was no objection.
Mr. TAKANO. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, H.R. 8260, as amended, the bipartisan Faster Payments to
Veterans' Survivors Act, will result in important help for the
surviving family members of recently deceased veterans. Families often
face financial hardship when a veteran life insurance policyholder
dies, making timely payment of these VA benefits is therefore
essential.
The VA does an admirable job of quickly paying the vast majority of
beneficiaries upon the death of a loved one. Yet, in other cases, for a
variety of reasons, VA is unable to determine the identity or location
of a surviving spouse, child, or family member. At the end of the
fiscal year 2020, the Department owed more than $150 million in
undisbursed life insurance proceeds to nearly 15,000 survivors.
Approximately 10 percent of this money had been owed for more than 5
years.
This legislation, introduced by Representative Chris Pappas ensures
that VA will make the necessary improvements to expedite these life
insurance payments with a goal of disbursing all unpaid benefits within
2 years.
The bill is cosponsored by more than 40 Members on both sides of the
aisle, and it has the support of a half-dozen veteran service
organizations, including the VFW, America Legion, Iraq and Afghanistan
Veterans of America, Vietnam Veterans of America, Military Officers
Association of America, Modern Military Association of America, and
Paralyzed Veterans of America.
Mr. Speaker, I thank Representative Pappas for his work and urge all
of my colleagues to support this legislation.
Mr. Speaker, I reserve the balance of my time.
Mr. BOST. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, I rise in support of H.R. 8260, the Faster Payment of
Veterans' Survivors Act.
This bill would improve VA's delivery of insurance benefits to
survivors. One of the provisions would streamline insurance payments to
beneficiaries under the NSLI and the USGLI programs.
Another section would make improvements to the VA's process for
identifying and paying the beneficiaries.
Mr. Speaker, I thank Congressman Pappas for introducing this bill and
for his commitment to help VA honor its obligation to surviving family
members.
Mr. Speaker, I reserve the balance of my time.
Mr. TAKANO. Mr. Speaker, I yield 5 minutes to the gentleman from New
Hampshire (Mr. Pappas), my good friend who serves as chair of the
Subcommittee on Oversight and Investigations of the Veterans' Affairs
Committee.
Mr. PAPPAS. Mr. Speaker, I thank Chairman Takano and Ranking Member
Bost for getting these bills to the floor, including this important
piece of legislation.
Mr. Speaker, I rise today in support of my bipartisan legislation,
H.R. 8260, the Faster Payments to Veterans' Survivors Act. It is a
bipartisan bill that ensures that VA quickly identifies, locates, and
pays surviving family members the life insurance benefits they are
owed.
VA's insurance service already has some tools in place to identify,
locate, and pay hard-to-find beneficiaries, but more can be done to
prevent these survivors from needlessly waiting during what is likely a
difficult time, both emotionally and financially.
My bipartisan bill, the Faster Payments to Veterans' Survivors Act,
will make much needed reforms to allow VA to better identify and locate
surviving family members of recently deceased veterans.
By making these reforms, we will make sure they receive the payments
and benefits they were owed in a timely manner.
According to the VA, the Department owed more than $155 million to
15,000 individuals at the end of September 2020.
For a widow or widower who is struggling to make ends meet, a life
insurance payment of $10,000 makes a world of difference.
Alfred, a constituent of mine in Rochester, New Hampshire, and a
Korean war veteran, shared how much this bill will mean to his family.
His father-in-law, a veteran of World War II, passed away last year.
Alfred's spouse waited for months to receive the survivors benefits
owed to her by VA. He contacted our office for help remedying the
issue. We were able to help them, but no family should have to jump
through hoops for months following the loss of a loved one.
This bill directs the Department to improve and better publicize an
online tool that families of veterans can use to search for past due
benefits. It expands access to internal and external data sources that
will help VA track down veterans' survivors. It makes sure the
Department is adequately staffed to perform these searches.
The bill also shortens the unnecessarily long timeframe in which VA
is authorized to designate and pay alternate beneficiaries and ensures
that procedures for paying alternate beneficiaries are consistent
across several different life insurance programs. All of these steps
will lead to faster payments to veterans' survivors.
Mr. Speaker, I thank Congresswoman Nancy Mace of South Carolina for
co-leading this bipartisan bill. I appreciate the strong bipartisan
support from my colleagues and from veterans service organizations,
including the VFW, American Legion, Iraq and Afghanistan Veterans of
America, Vietnam Veterans of America, Military Officers Association of
America, Modern
[[Page H7772]]
Military Association of America, and Paralyzed Veterans of America.
Once enacted, the Faster Payments to Veterans' Survivors Act will
have a real and positive impact on the financial well-being of
thousands of veterans' families.
Our veterans serve our country and sacrifice so much, and their
family members contribute and sacrifice right alongside them. It is of
utmost importance that we honor those commitments and support their
family members.
The bill passed the Veterans' Affairs Committee unanimously in July,
and I urge the full House to support its passage today.
{time} 1630
Mr. BOST. Mr. Speaker, I encourage all of my colleagues to support
this bill, and I yield back the balance of my time.
Mr. TAKANO. Mr. Speaker, I ask all of my colleagues to join me in
passing H.R. 8260, as amended, the Faster Payments to Veterans
Survivors Act, and I yield back the balance of my time.
The SPEAKER pro tempore. The question is on the motion offered by the
gentleman from California (Mr. Takano) that the House suspend the rules
and pass the bill, H.R. 8260, as amended.
The question was taken.
The SPEAKER pro tempore. In the opinion of the Chair, two-thirds
being in the affirmative, the ayes have it.
Mr. ROSENDALE. Mr. Speaker, on that I demand the yeas and nays.
The yeas and nays were ordered.
The SPEAKER pro tempore. Pursuant to clause 8 of rule XX, further
proceedings on this motion will be postponed.
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